48 added · 55 removed between the two most recent 10-Ks. The risks a company starts — or stops — disclosing are often the story.
Newly disclosed
For example, the September 30, 2025 expiration of federal electric-vehicle tax credits for both new and used vehicles, in addition to vehicle recalls and OEM marketing incentives, have negatively impacted both consumer demand for electric vehicles and the residual value of electric vehicles subject to an automotive operating lease.
Changes in administration priorities can also lead to shifts in supervisory or enforcement focus—for example, public debates around “debanking” and related account-closure practices—which may alter regulatory expectations and increase compliance and reputational risks.
For example, residual values for certain plug-in hybrid vehicles have experienced pressure recently driven primarily by the elimination of federal electric-vehicle tax credits for both new and used vehicles, vehicle recalls, and OEM marketing incentives.
For example, military conflicts, acts or threats of terrorism, and political, financial, or military actions taken in response could adversely affect general economic, business, or market conditions and, in turn, us, especially as an intermediary within the financial system.
As a result, any enforcement or other supervisory action could have an adverse effect on our business, financial condition, results of operations, and prospects. 18 Table of Contents Ally Financial Inc. • Form 10-K Our regulatory and supervisory environments—whether at international, federal, state, or local levels—are not static.
Governments and policymakers at the federal, state, local and international levels are increasingly focused on climate- and other sustainability-related issues, including the potential for climate-related risks to impact the safety and soundness of large financial institutions. 21 Table of Contents Ally Financial Inc. • Form 10-K Furthermore, in recent years, there has been increasing divergence in how government and policy makers are approaching these issues.
A financial or systemic shock and a failure of a significant counterparty or a significant group of counterparties could negatively impact us as well, possibly to a severe degree, due to our role as a financial intermediary and the interconnectedness of the financial system. 22 Table of Contents Ally Financial Inc. • Form 10-K We continue to have exposure to nonprime consumer automotive financing and used vehicle financing.
Failures, deficiencies, or delays in these servicing functions—whether due to process breakdowns, system limitations, human or AI-related errors, third-party service providers, or increases in servicing volumes—could impair our ability to identify, monitor, and remediate emerging credit issues in a timely manner.
Such decreases in used vehicle values could adversely affect our remarketing performance and realized residual values for certain vehicles currently in our operating lease portfolio, could result in an impairment to our operating lease assets, or could result in a prospective increase in depreciation expense. 24 Table of Contents Ally Financial Inc. • Form 10-K In addition, we obtain residual value guarantees in connection with the origination of new operating lease contracts.
In addition, if we are unable to satisfy our indebtedness and other obligations in full and on time, our business, reputation, and value as a going concern could be profoundly and perhaps inexorably damaged. 27 Table of Contents Ally Financial Inc. • Form 10-K Our non-deposit borrowing costs and access to the banking and capital markets could be negatively impacted if our credit ratings are downgraded or otherwise fail to meet investor expectations.
These same risks and uncertainties arise too for the service providers and counterparties on whom we depend as well as their own third-party service providers and counterparties. 28 Table of Contents Ally Financial Inc. • Form 10-K In the past, significant unforeseen events have had a significant impact on our provision for credit losses and results of operations.
In addition, during the first quarter of 2026, Stellantis announced the discontinuation of certain plug-in hybrid electric vehicle models, which could exert further downward pressure on used vehicle values for these models.
No longer disclosed
For example, in October 2023 27 Table of Contents Ally Financial Inc. • Form 10-K our former CEO provided notice of his intent to retire, and on April 29, 2024, Michael G.
For example, in August 2022, the Inflation Reduction Act was signed into law in the United States and, in part, imposes a 15% corporate alternative minimum tax on certain large corporations, such as Ally, and a surcharge on stock repurchases.
For example, net charge offs and delinquencies in our consumer automotive lending portfolio remained elevated in 2024 as our customers faced challenging economic conditions, such as prolonged periods of inflation and high interest rates.
However, the Federal Reserve lowered the federal funds target range in 2024 to 4.25–4.50% in response to easing inflation 26 Table of Contents Ally Financial Inc. • Form 10-K trends and moderate labor market pressures.
For example, during the economic crisis that began in 2007–2008, sharp declines in used vehicle demand and sale prices adversely affected our remarketing proceeds and financial results.
For example, new vehicle sales decreased dramatically during the economic crisis that began in 2007–2008 and did not rebound significantly until 2012 and 2013.
More broadly, the U.S. federal government, U.S. states and certain other countries and regions have adopted or are considering legislation, regulation or policies that reflect diverse, diverging and, in some cases, potentially conflicting policy goals, for example, on social and environmental topics such as climate change, corporate diversity, equity and inclusion and companies’ actions, commitments and initiatives on such issues.
These actions are comprehensive in their coverage, such as rulemakings on cybersecurity risk governance (including incident disclosure), climate-, diversity- and other sustainability related matters (including disclosures), CRA reform, and personal-financial-data rights as well as guidance and statements on mergers and acquisitions, regulatory capital, resolution planning, automotive financing and insurance, fees for financial services, and UDAAP.
The long-term debt proposal, if adopted, would require Ally to maintain more long-term debt than it does currently, which would adversely affect interest expense, net interest income, and net interest margin. 21 Table of Contents Ally Financial Inc. • Form 10-K Our business and financial results could be adversely affected by the political environment and governmental fiscal and monetary policies.
Additional funding, whether through deposits or borrowings, will be required to fund a substantial portion of the debt maturities over these periods, and we may not be able to obtain such additional funding at interest rates or on other terms as favorable as the interest rates and other terms on the maturing debt. 28 Table of Contents Ally Financial Inc. • Form 10-K Ally and Ally Bank continue to access the securitization markets.
Following the failures of three large banks in 2023, banking regulators have proposed changes, or indicated the potential for changes, regarding the regulation and supervision of banking organizations, in particular those, such as Ally, with $100 billion or more in assets.
In December 2017, the Basel Committee approved revisions to the global Basel III capital framework and on July 27, 2023, the FRB and FDIC issued a proposed rule to implement the Basel Committee’s 2017 standards and make other changes to regulatory capital rules for banking organizations with total consolidated assets of $100 billion or more.